In another Southeast Asian ecommerce B2C consolidation (and why that’s not surprising, explained here), Rocket Internet has announced the merging of its Lazada-like marketplace Daraz operating in Myanmar, Pakistan, Bangladesh, and Kaymu in Myanmar, Sri Lanka, Cambodia, Philippines, Tech in Asia reported. The two ecommerce sites will be merged under a new entity, “Daraz Group,” although Kaymu is the larger one with 475 thousand visits overall compared to Daraz’ 11.5 thousands visits from January 2016 (Similar Web).
According to Bjarke Mikkelsen, co-CEO of Daraz Group, “Kaymu is the larger company in terms of customer base and orders, but Daraz is significantly bigger when it comes to the total amount of cash customers spend. The overlap between customers who transact on both Daraz and Kaymu is less than 10% of the combined user base”.
Operations such as marketing, IT and Business Intelligence will be centralized in Pakistan. Only in Pakistan and Bangladesh will the two ecommerce sites remain separate, in other markets, the sites will be merged under “Daraz Group”.
The decision to centralize operations in Pakistan away from Paris means the group will also have considerably less overheads and be able to operate on a lean model.
A version of this appeared in Tech In Asia on June 24. Read the full article here.